Business groups set up forum of cooperation

JAKARTA (JP): Indonesian business associations established a forum yesterday to face the increasing competition in the global economy following the implementation of the new principles of the General Agreement on Tariffs and Trade (GATT).

A number of powerful business people, including the president of Sahid business group, Sukamdani S. Gitosardjono, timber tycoon Muhammad (Bob) Hasan and the chief commissioner of PT Astra International, A.R. Ramly, showed their support to the founding of the umbrella organization.

"The function of this forum is to organize ourselves against foreign competitors with the implementation of new GATT principles early next year," said the 66-year-old Sukamdani, who organized and chaired the final session of a two-day dialogue yesterday.

He announced to some 150 business leaders that the name of the loose organization is the Forum Kerjasama Asosiasi-Asosiasi Perusahaan Tingkat Nasional (FKAP) or the National Cooperation Forum of Company Associations.

The establishment of the forum was processed during the national dialogue between business people and government officials to discuss the impact of GATT at a five-star hotel in Central Jakarta.

Minister of Trade Satrio Budiharjo Joedono, Minister of Industry Tunky Ariwibowo and Minister of Cooperatives and Small Enterprises Subiakto Tjakrawerdaya each encouraged the associations to form such an umbrella organization during their respective speeches.

"As long as it does not break the rules, why not?" said Bob Hasan, a close associate of President Soeharto, when asked by a participant of the dialogue whether the founding of the forum contradicts the laws of the Indonesian Chamber of Commerce and Industry (Kadin), which permits only a single business organization throughout the country.

Kadin

An executive of Kadin had earlier aired his disapproval of the founding of FKAP, saying that Kadin had recently revised its statute to give associations a better position in the chamber.

Kadin Chairman Aburizal Bakrie, who was invited to open the two-day dialogue, was unable to deliver his speech due to commitments abroad.

Both Sukamdani and Ramly ran for the chairmanship of Kadin before being defeated by Aburizal, the chairman of Bakrie & Brothers business group, during an election in January.

Sukamdani told participants of the meeting yesterday that the signatories of the declaration -- namely banker I Nyoman Moena, businessmen Sri Mulyono Herlambang, M.B. Nawawi, Wisnu H. Krestowo and Sukamdani -- had appointed eleven persons, including the five, to form the executive board of the forum.

The other six members are Bob Hasan, Ramly, Soelarto Hadisumarto, Handoko, Rosita S. Noer and Mohammad Taha.

Sukamdani stressed that the forum is not an alternative to Kadin, adding that it will cooperate with Kadin for the sake of Indonesian business people.

Several business associations -- such as the Indonesian National Air Carrier (Inaca), the Association of Indonesian Oleo Chemical Companies (Apolin), the Indonesian Fashion Designers Association (APPMI), the Indonesian Retailers Association (AP3I) and the Indonesian Forestry Community -- coordinated to organize the two-day national dialogue.

Tubagus Mochtar Atmadja, a commissioner of the Surabaya Stock Exchange and also a member of the steering committee of the dialogue, told The Jakarta Post that Bob Hasan and Sukamdani are the candidates to chair the forum.

Mochtar said it would be better to let Bob Hasan lead the forum on the grounds that Sukamdani had earlier run for the leadership of Kadin.

"We must avoid an image that this forum is challenging Kadin," he said.

Sukamdani is a former chairman of Kadin. (09)